ASML Slides From Buy to Hold - Analyst Cites Slower Growth Ahead

ASML Holding N.V. (NASDAQ:ASML) is one of the Trending AI Stocks on Wall Street. On July 23, Erste Group analyst Hans Engel downgraded the stock from Buy to Hold due to uncertainty revolving around its revenue growth prospects for 2026.

ASML’s revenue and profit growth are both expected to be lower than in 2025. The firm believes that ASML maintains “a monopoly position in state-of-the-art lithography systems,” particularly highlighting the company’s leading market position in advanced chipmaking equipment.

As per the research note, ASML’s third quarter guidance for total net sales is between EUR 7.4 billion and EUR 7.9 billion. The firm added that it also anticipates a slightly lower gross margin of 50% to 52% in the third quarter in comparison to the previous quarter.

ASML Holding N.V. (NASDAQ:ASML) develops and sells advanced semiconductor equipment, including lithography, metrology, and inspection systems for chip manufacturing.

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